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Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003)

Amended Codes of Good Practice (2017)

Amended Code Series CS000: Framework for Measuring Broad-Based Black Economic Empowerment in the Construction Sector

Statement CSC000: General Principles and the Large Enterprise Scorecard

1. Preamble

1.5 Monitoring & Compliance


1.5.1 The Construction Sector Charter Council was established consequent to the Construction Sector Code. To this end, the Council was mandated to align the Amended Construction Sector Codes to the Amended Generic Codes of Good Practice.


1.5.2 The Construction Sector Charter Council will oversee and monitor the implementation of the Construction Sector Code. It will act with executive authority and provide the necessary links to relevant government institutions at the reporting and compliance levels.


1.5.3 The Construction Sector Charter Council will also perform and release annual reporting as a way to review quantitative and qualitative progress towards transformation in the Construction Sector.


1.5.4 It will be compulsory for all Measured Entities who are measured through the Verification Agencies to ensure that B-BBEE certificates issued in terms of the Construction Sector Code to annually provide the independently verified scorecard and associated details of the Measured Entity in a prescribed format to the Construction Sector Charter Council in line with Section 10(4) of the B-BBEE Amendment Act. The Construction Sector Charter Council will use this information to assess the performance of the sector and to provide accurate and reliable state of the industry reports to the line Minister and the DT. Verification agencies must ensure that the confidentiality obligations with their clients do not prohibit them from providing such information.


1.5.5 The Construction Sector Charter Council will, in accordance with the B-BBEE regulations and established working protocols, report all suspected incidents of fronting and fraudulent scorecards credentials to the office of the B-BBEE Commissioner to investigate and prosecute any confirmed fronting and circumvention activities.


1.5.6 The Construction Sector Charter Council shall, within 12 months of gazette issue practice notes approved by the Minister of Trade and Industry on the measurement of localization and local content, equity equivalents and other measurement related matters.